Metro Vancouver's Board Composition
Summary
Metro Vancouver is a diverse organization that plans for and delivers regional utility services, including water, sewers and wastewater treatment, and solid waste management. On its board currently, there are 41 Directors representing 21 Municipalities, one Electoral Area, and one treaty First Nation.
Problem
The board’s large size limits its ability to address issues efficiently and effectively. It is significantly larger than most other boards in the Lower Mainland.
Metro Vancouver, with its $2.7B operating budget, has 41 board members. By contrast, Translink has a similar operating budget but only 11 board members. Even better, BC Hydro, with its $7.5B operating budget, has only 9 board members.
Research suggests that larger boards don’t necessarily improve performance. A study of 327 S&P 500 companies from 2013–2017 found a negative correlation between board size and corporate success.
According to the 2024 Metro Vancouver Financial Statements, directors made $1,238,408 in remuneration for an average of $27,520 per director. If Metro Vancouver reduced the board of directors to 10, consistent with BC Hydro and Translink, the province would save $963,206.
Solution(s)
1: Reduce the board of directors from 41 to 10
Savings = $963,206
Read Coastal Front’s report here: